Each quarter we round up the key mobile industry developments that have caught our attention, and we explain what it means for brands and marketers. Click below to read the report.

1. mobilePulse:
10 stories that mattered in Q1 2016
Putting mobile at the heart of marketing

2. Introduction In focus this quarter:
2
1. Connected Devices—Amazon
Replenishment
2. New Google Analytics Product
Concentrates on Mobile
3. The Battle for Voice Search
4. Connecting the Unconnected
5. The Various ways to Pivot Toward the IoT
1. Mobile Advertising on a Steady Incline
2. Virtual Reality—The Good, the Bad, and
the Ugly
3. Smartphones Replacing Passwords
4. China Focuses on Mobile Advertising
We know people are pressed for time
and that keeping up to date with the
latest news in digital, mobile, social,
wearables and connected devices can
be daunting.
Each quarter we round up the news
stories, analysis and research that have
caught our attention, and we tell you
why and what we think it means for
brands.
These stories may be case studies,
white papers, thought-leadership
pieces, analysts’ reports, industry
statistics and trends.

3. 3
1. Connected Devices- Amazon Replenishment
Connected devices are augmenting and enhancing our daily lives by
taking out the mundane activities allowing us to focus on the things
that really matter to us. Amazon understands this and its Dash
Replenishment System (DRS) is a fine example. Using a combination of
software and sensors, Amazon has enhanced many ordinary products
to allow them to recognize when they are running low and allow them
to automatically order more.
For example, the Brita Water Pitcher can now recognize (using a
sensor) when it’s running low on filters and order more before it runs
out. The same goes with a variety of other products including, Obe
which will reorder dog food, a series of Samsung printers that can now
order more ink cartridges before it runs out, GE’s new washer and
dryer which will order more laundry supplies, and many more.
The health and fitness industry have also had some breakthroughs.
For instance, wearable devices such as the FitBit, Apple Watch, or other
smart watches now contain sensors that allow a variety of capabilities
including health monitoring, measuring heart rate, and calories
consumed. This data can then be synced with mobile apps to give the
user actionable insights on what to eat, what to exercise, and when.
This allows the user to focus on what really matters, living a healthy
lifestyle.
What it all means:
The addition of sensors and software into products allows them to
deliver a service on top of the physical product. These services are
often focused on making consumers’ lives easier. Marketers should
consider how they can enhance their physical products by adding
digital experiences.
Find out more: Check out these connected devices
Read: How Amazon Dash Replenishment Works
1. Brita connected water pitcher, orders a new filter
when necessary
2. Samsung WiFi printer automatically order
replacement ink cartridges
3. GE’s Washer and dryer will order new laundry
supplies when running low
4. Petnet SmartFeeder will order more pet food as well
as manage feeding times and portion sizes

4. In March, Google launched its new Analytics 360
product. This is part of its continuing efforts to
compete with other analytics powerhouses like Adobe,
Salesforce, or Oracle. Data collection through cloud-
based services has become an increasingly important
part of marketing and sales.
According to a recent article published by the New York
Times, “Analytics 360 involves figuring out someone’s
habits over numerous screens, including desktop web
surfing, television, and the web and app parts of
smartphones. There are ways to tailor page designs for
many of these screens, and place ads using both Google
properties and third-party services”1.. Alongside cross-
device measurement, the second key change to this
analytics product is the way in which it recognizes the
importance of mobile during the customer journey.
What this means:
There is increased competition to become the provider
for cloud-based services that store and manage
consumer data. Google sees the increased importance
of cros-device measurement and understanding the
customer journey as key to winning this battle. As
marketers strive to create omni-channel solutions,
analytics products will need to measure the
effectiveness across multiple channels.
Read: Google Introduces Products That Will Sharpen
Its Ad Focus1
Read: Data & Analytics In 2016: Superstar Industry
Experts Weigh In
2. New Google Analytics Product Concentrates on Mobile

5. 5
3. The Battle for Voice Search Voice search has been around on Smartphones for some time now,
but it has only recently begun to take off as a hub that can be
leveraged in smart homes. Systems like Amazon’s Echo, or recently,
Sony’s Xperia Agent are fighting to become the “go to tool” for what
could become a massive industry.
At this year’s Mobile World Congress in Barcelona, Sony showcased a
prototype of Xperia Agent, a smart home assistant that will compete
directly with the Amazon Echo.
Sony's Xperia Agent has capabilities beyond the Echo because it can
do more than just listen, according to WIRED.
“Sony fitted the Xperia Agent with a number of sensors, a projector, and a
camera. Combined with gesture recognition technology, this allows users
to control the Xperia Agent with hand gestures. Additionally, users can
direct the Xperia Agent's projector by simply tapping on the projected
display”1.
Sony aims to turn the device into a proactive automated assistant
that can recognize a user as they enter a room from their
smartphone. That way the Xperia Agent can immediately activate
lights, play music, or deliver updates on news, weather, or missed
calls.
What this means:
By syncing with the owner’s phone and going beyond voice
recognition by incorporating visual sensors, Sony is taking voice
recognition to the next level. Marketers are still at the exploratory
phase of using voice recognition products like Sony’s Xperia and
Amazon Echo. However, they may be hesitant using the word
Artificial Intelligence (AI) when describing how it works, as consumers
are skeptical of AI, and hesitant to allow it into their homes, with just
13% of them using voice control personal assistance on a daily basis.
Read: Amazon wants to be in more rooms of your home with two new
Echo devices
Read: The Xperia Agent Is Sony’s Bold Plan to One-Up the Amazon Echo
Sony Xperia (left) and Amazon Echo (right)

6. 6
4. Connecting the Unconnected There were two key themes covered at this year’s Mobile
World Congress in Barcelona, Connecting the
unconnected and pivoting toward the Internet of Things
(IoT) (see next slide).
According to trade body, the International
Telecommunications Union’s (ITU) estimates, about 43%
of the world is connected to the internet, This means
there are 3.4 billion internet users. This also means there
are another 4.5 billion people who are not yet accessing
the internet.
As might be expected, developed nations have much
greater internet penetration than emerging nations,
however, mobile internet usage is increasing throughout
emerging economies.
There are two keys to this rise in mobile internet usage in
emerging economies. First is the provision of low-cost
data tariffs through Carriers and Operators, and secondly,
the availability of low-cost smartphones. At mobile world
congress there were a plethora of new low-cost handsets
aimed at these markets, in particular, handsets being
made by Chinese manufacturers.
What this means:
The key question to ask is, “what happens when more
people become connected via their smartphones?”
Evidence to date from groups such as Pew Research
Center suggests that having access to the mobile internet
increases the use of social media sites and acts as a
catalyst for the creation of new services such as mobile
banking.
Read: State of Connectivity 20151
Read: Smartphone Ownership and Internet Usage
Continues to Climb in Emerging Economies

7. 7
In addition to connecting the unconnected, the other key theme
covered at this year’s Mobile World Congress was the increased focus
on IoT. Increase smartphone penetration and the addition of sensors to
many other devices will mean that consumers become increasingly
connected via the internet of things.
The organizers of Mobile World Congress, the GSMA, in their wrap-up
of the event have noted three different strategies being applied by
technology companies to the IoT.
1. Horizontal approach - the focus here is on providing a technology
that can be used across all industries. For example, an analytics
company that provides a platform that can measure multiple facets of
IoT activity. Such as the industrial IoT, smart city, connected home, and
more.1
2. Vertical approach - the focus here is on providing IoT products or
services for a specific segment or market such as the connected home
or the connected car. For example, a consumer electronics
manufacturer creating a suite of smart home devices.1
3. Hybrid approach - as this implies, the technology could be used
across many markets, but the technology provider chooses to focus on
specific verticals. For example, some network operators are able to
provide connection to any IoT device, but their platform is built to
specifically attract industrial companies.1
What it all means:
Marketers should be aware of the differing approaches that technology
providers are taking toward IoT before selecting potential partners to
work with. By its very nature the IoT is geared towards multiple devices
working together, so proprietary technology may limit marketers’
opportunities to connect with consumers.
Read: Mobile World Congress 2016 wrap-up1
5. The Various Ways to Pivot Toward the IoT

8. 8
6. Mobile Advertising on a Steady Incline
As consumers spend more time in digital channels, particularly
mobile, marketers are adjusting their budgets for advertising
accordingly. TV still dominates advertising spend, but it is
anticipated that by 2020, spend on digital channels will finally
overtake it.
Media ad spending as a whole is expected to increase by only
5.1% in 2016. 2017 is expected to be the year when digital ad
spending finally exceeds TV ad revenues. From that point on,
digital advertising, and mobile in particular, is expected to
continue to increase (see emarketer data). Does this increase
mean that marketers are spending more on advertising? Or are
they reallocating budget from other channels?
The continuing decrease in print advertising suggests that
marketers are reallocating budget from print to digital. “Although
the newspaper industry is seeing increasing digital revenues, these
numbers have not been strong enough to counteract the decline in
print revenues. The sector as a whole is struggling, even when taking
into account digital dollars. eMarketer predicts newspaper ad
spending, including both revenues from print and digital properties,
will decline 3.6% in 2016 to $17.94 billion.”1
What it all means:
Changes in spend in any channel don’t always reflect the
effectiveness of that channel for brands. Marketers should be
weary of reallocating budgets without evidence to show that
digital channels can achieve better rates of awareness and
engagement with consumers. As ever, the focus of the marketing
mix should be on where the target consumers are most likely to
engage with the brand.
Read: US Spending on Paid Media Expected to Climb to 5.1% in
20161

9. 9
7. Virtual Reality—The Good, the Bad, and the Ugly
With the Oculus Rift Virtual Reality (VR) headset starting to ship at the end of Q1 2016,
many are asking whether this year will be the year of Virtual Reality. WIll the Oculus
Rift be the catalyst for VR in the same way that the iPhone was for smartphones?
Like the iPhone, the Oculus Rift will have an immediate audience of fans who want to
try to something new and different. Also like the iPhone, it will have some massive
barriers to mass adoption to overcome, but unlike the iPhone, the Oculus Rift is being
launched almost simultaneously alongside other competitive devices.
Alongside the Oculus Rift, there will be Virtual Reality headsets from Sony, Microsoft,
and others. Perhaps more significantly, Google Cardboard will allow many more
consumers to experience VR at an incredibly low price. We have already seen brands
take advantage of this low entry cost to experiment with VR, for example, Coca-Cola
creating their own version of Google Cardboard and integrating it into their packaging.
While the hardware is becoming available to consumers, the content and more
importantly, the consumer need does not yet exist in many markets. Aside from
entertainment (which may well be a sizeable market) what problem is VR solving for a
consumer that would make it attractive to a brand? One early example is of travel
companies and airlines creating VR content that allows tourists to experience
something of the destinations they could travel to through VR.
Another noteworthy obstacle of VR is the implications to our bodies. “The elephant in
the room is disorientation and motion sickness,” said Oculus VR chief executive,
Brendan Iribe, in November 2014, albeit during an interview where he was claiming his
company would crack the problem, while rivals may not.1
What it all means:
It would be easy to be seduced by the lure of VR as a new technology, but marketers
should be clear on the value that VR content could bring to their consumers before
starting VR projects. That said, we are literally at the dawn of this new technology and
very few of us know where it will take us as individuals, let alone in the relationship
between brands and consumers.
Read: Three really real questions about the future of virtual reality1

10. 10
8. Smartphones Replacing Passwords
Now that Smartphones allow users to unlock their phone and sign
into different accounts with the touch of a finger, the big question is,
how long will it take for this to replace passwords?
According to a recent article by the Wall Street Journal, “The latest
developments from Google parent Alphabet Inc. and from Apple Inc. go
beyond using special programs designed to manage all of your
passwords, or entering a code sent via text message. Instead, they treat a
handset as a replacement for passwords and other identification”.1
Forgetting passwords aren’t just annoying for the user, they’re
troublesome on the other end as well. Gartner Inc. estimates that
password resets take up between 20% and 30% of all help-desk
support calls in corporations.
Smartphones with fingerprint recognition have replaced passwords in
many cases and it’s only a matter of time before they’re gone
altogether. In 2014, “about 50% of iPhone users didn’t lock their
handsets. Today, 90% of iPhone users lock their devices with either a
passcode or fingerprint scan. Of the top 2,000 free iPhone apps in the U.S.,
7.5% use Touch ID, according research done for The Wall Street Journal by
SourceDNA, Inc. an app analytics service”1.
What it all means:
Biometric authentication will soon replace passwords altogether. This
will go beyond fingerprint recognition, many financial institutions are
already pushing toward facial recognition technology. These
technologies are likely to increase consumer usage of financial
services on mobile devices by providing greater confidence in the
security of the devices and the channel.
Read: Tech Firms Push Toward a Future Without Passwords1
Read: Wells Fargo to Roll Out Biometric Logins by June

11. 11
9. China Focuses on Mobile Advertising
During 2015, mobile ad spending in China more than doubled
from the prior year to $15.82 billion, according to eMarketer’s
latest estimates. Mobile consisted of more than 22.3% of total
media ad spending in China—the largest share worldwide.
According to Nishtha Mehta, founder of CollabCentral Consulting,
“Everything you do in marketing communication [in China] has to
be through the lens of mobility because consumers are doing
pretty much everything ... on mobile”.
As China paves the road ahead for mobile ad spending,
experimenting with different methods and techniques, many
consumers in China have had enough of certain types of
advertising. Video advertisements, particularly mobile have
become both annoying and frustrating to consumers, especially
when completely irrelevant. Paying exorbitant data fees for
irrelevant advertisements is appealing to nobody, and could cause
a consumer backlash in the near future.
Despite many consumers being fed up with video advertisements,
mobile video ad spending in China is expected to grow by 85.9% in
2016 to $2.16 billion after more than doubling in 2015, according
to iResearch Consulting Group.
What this means:
Marketers can learn from the way in which mobile is being used to
connect, engage, and influence consumers in other markets.
China is crucial for two reasons; first, it is increasingly a mobile
first economy, and secondly, because of the volume of consumer
interactions with brands taking place on mobile. Marketers need
to stay aware of the types of engagement and format innovation
being tried in China and to consider whether that learning can be
transferred to their own markets.